why self employment tax? because they aren't "professionals/employees"?Well, there is no doubt that it is taxable income.
It also seems clear to me that it will subject to Self-Employment Tax (SS & Medicare).
A free car? That will be taxable income and SE tax also. So, if the lease payments on a car are $900/mo, that's $10,800 of taxable income and the cash for the tax will have to come from his cash NIL.
Lots of tax - lots left over.
I assume pro aren't subject to full SE tax. If correct that's pretty funny!